All Forum Posts by: Dustin Tucker

Hello Ethan,

I think the main difference between traditional banks and credit unions are their guidelines, most credit unions are manual underwriting, because they are using their own money and keeping the loans.  Your traditional bank in most instances is going to take the loan and resell it on the secondary market.

For House Hacking, my favorite concept is  purchasing a duplex, triplex or quadplex, you accomplish 2 things in 1 step, you get a roof over your head, and at a minimum you get someone else to help pay for your mortgage, and when its time to move out, you already have your 1st investment property under your belt.

Hello Evan, great choice, you can get started, the first thing you should do is look up how to set up an LLC, you may not be able to own it until you are 18, but I would think that your mom or dad could be the place holder until then.

2. I would start with undersanding foreclosures and wholesaling, you can use your LLC to get properties under contract and assign the contract to other investors to make a profit. Since you are in Dallas, TX you can go on the Colling County Clerks's web site and get access to all the foreclosure listings every month. The strategy to use is to go knock on the doors of some of the foreclosure properties to see if you can buy the property before its foreclosed on. ( you don't actually have to complete the purchase, but you get the property under contract and then assign the contract to another investor)

3. I would suggest to get started on your education requirements to get your Real Estate License, to me it seems like a lot of the courses go over contract, and once you understand how a purchase and sale contract works, then you can go out and write offers, and purchase properties.

4. One thing you can also do is work as loan Broker for Investment properties, there aren't any age requirements, reach out to me directly if you are interested.

Hello Cherilyn,

I think you have a couple of options, the good news is that they are paying you, the better news is that you are collecting late fees.

1. If you go file for an eviction and they show up and pay their lease, they get to stay in the property.

2. One option you might try is to go to Bi- Weekly Payments, this way you collect on the same cycle as their paychecks.

As long as both of your tenants still have their jobs, I would ride it out, the 2nd thing is how are they maintaining the property, are you going to have to spend thousands of dollars on repairs because of damage to the property. Hope this helps.

Hello Chase,

I'm sorry to hear about your situation, you basically have the following options.

1. Pay off the existing loan (which I understand isn't an option)

2. Sell the property, you already have plans, it might make for an advantage for someone.

3. Redo your budget and get a new construction loan from a different lender. As long as the appraisal will support it, you can get it refinanced. I recommend this option, as just sitting on the property with no income is a drain on you both financially and mentally.  And once the house is finished, you have multiple options for refinacing and selling the property.

Let me know if you would like a term sheet for a construction loans, thanks, Dustin

Hello Paul,

I think you need to look into the world of DSCR Rental loans, most of these loans are set up on 30 Fixed rates, you can also do hybrid Interest only loans as well. We have rates in the Mid 6% rate and I expect them to drop in the coming months.

As for your situation, I don't think I would look at owner financing as you don't get to experience the price appreciation.  However if are dead set on Owner Financing, you have to get get 20% plus down payment and if you are in Florida, you have to deal with a Judicial foreclosure process which is not nice to Lenders, I would highly recommend against it. If you are looking at protecting your profit, you can have a prepayment penalty, that would be graduated, for instance, you could have a $50,000 prepay year 1, then $45,000 year 2 and so on until you get to year 10 with no pre payment penalty.

Also for future reference you can get Fix and Flip loans without having to tap into the equity in your primary residence.

Hello Igor, are you looking for lots, or contractors to build for you?

Hello Lauren,

Is this going to be your primary residence? If not you can do a DSCR loan or a fix an flip loan, there aren't any income requirements for either of these loans, and with $70,000 of Cash, this should be easy to get financed. We are closing similar loans to this one in 2-3 weeks. Let me know if you would like me to get you a term sheet. Feel free to reach out with any questions. Thanks,

Hello Sabuj,

I personally like the idea of purchasing duplexes, but I think you are going to see as much appreciation compared with purchasing Single Family Residences.  The problem I see is the masses have not understood the advantage of purchasing a duplex.

As far a Lennar is considered an entry level builder, I don't see that their neighborhoods in general have very good price appreciation, unless they are in a unique area where the location is exceptional.

I think that prices are falling, and that you should be able to find a deal, the I-35 Corridor from  San Antonio to Austin is a very hot area.

Here is an example of a property that was listed for $342,000, and the list price is down to $300,000, with a price drop of $20,000 on 7/29. 1261 Stone Rim Loop, Buda, Texas 78610, If you need any comps or info, just let me know, I'm a licensed Broker in Texas, and I have MLS access across the state.

Also, I'm not sure if you know, but you can split your 1031 exchange and purchase multiple properties instead of just 1 property. You can also use a DSCR loan for the remaining purchase amounts. Currently you can get DSCR loans for up to 80% of the purchase price.

For the 2 neighborhoods you looked at, I would look at price average over the last 6, 12, 24, and 36 months.

Gerard, If you can email the property address, I can get you the current DSCR Rates and terms. Thanks,

For your New construction program, we have an SBA program where we can get you up to a $5m Guided line of credit, with By Annual Payments, the line is good for 5 years. The interest rate is floating based on WSJ Prime rate, but as the prime rate comes down the LOC rate will also drop. Let me know if you would be interested in something like this.